What are the pros & cons of leasing a vehicle?

Question

I know you will never own the vehicle when it is leased, but what are other pros & cons? Most people trade vehicles within some years anyway. I appreciate any suggestions or thoughts. Thanks!

Answer 1

Pros:

- New car every 2-4 years with latest features and safety equipment

- Lower monthly payments - lower short term cost

- Car is always under warranty

- No trade-in/used car selling problems

- Lower sales tax (in most states)

- GAP insurance automatically included

Cons:

- Limited to average number of miles (about 15K per year)

- Must keep car in good condition and repair damages

- Lease-end charges if excessive miles or damages

- People with flawed credit may have to make a security deposit

- Insurance cost can be higher

- With lower payments, you build no owership equity

- Higher long-term finance costs

- Not easy or cheap to end lease early

Answer 2

Well if your looking at leasing a brand new car you can no longer do it throught Chevrolet, Ford, or Dodge dealers and all there associates. Some cons about leasing a vehicle is that if you go over the mileage which they will allow it can become fairly costly. You can't make any modifications to the vehicle. Some pros are any problems with the vehivle will be covered under the vehicles warranty. When your lease is up you can then purchase the vehicle for cheaper. If you don't purchase the vehicle and give it back that means your always going to drive a newer vehicle.

Answer 3

Pros:

Cheaper monthly payments

You can switch cars often

Cons:

Mileage is limited and you're penalized a lot for going over

In the long run, you're throwing away money

"Most people trade vehicles within some years anyway."

Most people are also in a substantial amount of debt.